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tv   Worldwide Exchange  CNBC  September 28, 2015 4:00am-5:01am EDT

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welcome to "worldwide exchang exchange". i'm susan lee. >> vw shares are looking at the red. the ecb cutting off the car maker refusing to buy loans from the finance arms as rumors suggest maybe the company has known for years of the emissions chief. separatists declare victory but do they really have a mandate for change. they fall short of an outright majority but win most seats in the parliament. tieup talks are term nated.
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vodafone has ended talks with liberty mobile for an asset swap. cheers to s.a.b. miller. the shares jump when $106 million could be paid for the brewer. let's kick things off with our top story. two reports other the weekend say volkswagen already knew about the i will legalities. in 2011 a vw technician pointed out unlawful practices. the question is though what they knew, when they knew. we also, by the way, have a new
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volkswagen ceomathias mueller taking over volkswagen. the former chief executive of porsche says he vows to get to the bottom of the scandal. >> this is interesting, susan. the ecb is no longer including loans as part of its bond buying program according to reports. also want to show you what shares in vw are doing this morning. first time i checked this morning they are down and they're accelerating their declines up by 3.78% over the course of the last week off by 22%. what a drop by shares in that company. let's get back out to nancy. it's a really tough road ahead for the new ceo? >> reporter: it is, carolyn. that's right. just adding to this is the ecb report as you mentioned really
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indicating the fact that the unserp at thu uncertainty is weighing not just on the market but the credit worthiness. matthias mueller needs to get to the bottom of what went wrong here. the papers were ripe with accusations that the company knew that these cheating emissions warnings were coming for quite some time now, going all the way back to 2007 from the bosh supplier and from an employee. and they're saying what did winterkorn know. that's what everyone is wanting to know. in order to restore trust they need to get a message out about what they plan to do to get the cars working as they should and try to get the emissions standards complying. that will come with some serious costs.
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analysts, investors, lawyers trying to work through what the costs will be for these fixes and what that means for the bottom line. several analysts don't expect to see any up side to the stock until we get more clarity. >> nancy, thank you. we'll have an automotive director. he's here in the studio. i want to kick things off with you. what exactly do you expect from the new ceo of volkswagen? what specific steps do you want to see him take? >> i think he needs to basically put everything on the table as quickly as possible. he needs to say who was the culprits here and that's one thing and what are the costs going to be associated with the whole mess to get it sorted out. >> steve, let me bring you in here. i would say that vw has been
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acting very quickly here. they replaced their ceo in a week. they set aside 6.5 billion euros. from the pr standpoint you can't accuse them of moving quickly enough. what about the dealers? what about the consumers? do they have enough transparency? have they seen quick action? >> they haven't. the management actions are taking financial charge, there's still a great deal of confusion about how many vehicles are affected and which markets, 400,000 in the united states and 11 million in europe. >> christian, let me get back to you. there's an article in the "financial times" that say this is worse than enron. it's about health matters and the fact that volkswagen led
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this campaign for more diesel engine adoption yet they're the ones cheating at the end of it. >> well, i mean, it is clearly a massive blow to the reputation of the company. if you were to ask me two weeks ago i would have said this is unthinkable. volkswagen is one of the core pillars of german engineering of the german quality in engineering. a thing like that to happen is a very, very strong blow. indeed, getting this reputation issue solved is a herculean task. i'm not sure how they will approach this and get back consumer confidence over time assuming that they can fix this at some point in time with money, the current status. >> that's a big assumption, don't you think? they can fix this, steve, with money? $18 billion in fines if you want to gauge it by $38,000 for each car that had these defeat devices. but is that enough? >> it's not only about money.
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i mean, there's some suggestions in some other analyst's reports will be that the amount will be less than that that's been stated to far. the main thing actually is narrowing down the area of doubt to those customers who have cars where these devices are fitted and dealing with them well. if you deal with them well as toyota showed, for example, with the case in the u. sms. a year so something. you can turn it into a positive. >> you make an interesting point saying toyota has turned their debacle into a customer service success. vw so far is a long way from doing that actually. before we let you go, christian, one final question for you. you've downgraded the stock. you have a price target of 94 our rows. how much uncertainty is attached to that rating. >> as you rightly point out, there's a lot of uncertainties about what is the cost and what is the reputation going to be?
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i've taken by my calculation a 20% discount based on the uncertain at this. that brings me to my 94 euro target. >> christian ludwig, auto mow tifr analyst at bankhaus lampe and steve from icdp. head to cnbc for nancy's on the ground analysis on the developing emissions scandal. pro independence parties in catalonia are setting a process to break the region away from spain. they've combined to have 72 out of 175 seats but fill short of a majority of votes with only 48%. julia's in barcelona. julia, what exactly does this mean for catalonia? >> reporter: well, it's a good question, carolyn. it's mixed.
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the pro separatists parties did win the election. you're talking about a center leftnd a center right party remember me telling me this under the together for yes banner. then you have a far left anticapitalist, antieuro party having to work together. if you're talking about that kind of coalition to come up with the pieces to work together. they have reservations about the incumbent president staying on. there are a lot of mountains they have to climb to achieve a coalition. they have to see if they can work together. somewhere down the line you'll expect a declaration they can work together. not going to happen right away. this is an 18-month timetable. can they form a coalition? can we get the announcement over future independence. the other thing is, if this had
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been an official refr rererendu they only got 48% of the votes. while the people are divided, they didn't get a popular mandate from the people. the president said he doesn't need that, he just wanted the majority in parliament and that they can work towards that but ultimately they didn't officially get any kind of referendum results. that's another mountain they have to climb never mind the fact that they meet a pretty strong brick wall when they have to negotiate with the central government. that's not requesting to change until we get beyond the general elections. >> jules, your reaction to the market. we're seeing the ibex out performing. overall markets seem pretty sanguine. are you surprised? >> reporter: i'm not. we spoke with artemus and he said it was all about
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negotiations. as far as i'm concerned, i think a bit of underperformance in spanish bonds makes sense not only because of what we've seen here but also concerns about this breakdown of the two party system in spain for the general elections. i think this is a strong showing. it shows that the catalan people are divided over this idea of independence and now you have a government likely to conform to push for that. beyond the markets i think the markets are calling this right at this stage. yes, there's potential risk going forward. if it's going to be about negotiations, we're not going to see some messy divorce or split. back to you. >> jules, thank you so much for that. susan, how are the markets looking? >> let's check in on what's happening in europe. we're looking at a whole lot of red. two straight weeks of declines from the s&p and dow last week. you get china production numbers. managers indexes. we're looking at stocks in europe 600 lower by 1/3 of 1%.
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let's break it down and check in on the individual benchmarks. as you see, we are looking at declines across the board. the ftse 100. the german dax and the cac 40. ftse mib indicating similar losses as well. we're looking for the worst quarter in europe since 2011. looks like the selling continues. let's take a look at the individual performers today. i want to show you what's happening with glencore. it looks like this stock continues to bleed, down 27% just in the past week alone. the money giant has agreed to sell its brazil nickel project for $8 million which is the latest move for it to service its debt file. vodafone shares also under pressure. the talks with liberty mobile have terminated.
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let's check in on knn on novo n. the long acting diabetes drug, traceba. it's already 10e8d in 30 countries. the sales may be $24 billion. i want to show you what's happening with sabmiller. yes, the brewer trading sharply after the sunday times said there could be a bid for $106 billion for the company with an opening offer coming as early as possibly monday morning. carl icahn is sounding the alarm bells. the billionaire investor says he's more hedged now than he's ever been as low rates have caused a bubble in art, real estate and high yield bonds. icahn will post a video with more key details later today. in a phone interview with cnbc
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he says the fed may have backed themselves into a corner and should have raised rates six months ago. carl icahn has been pretty bearish on the markets for six months, if not a year. back in june he said there's a bubble in the high yield market. we've seen prices drop quite substantially. the yield for the index is up 1% for the month of august. in a way he was right. but are we going to see those dramatic consequences? are we going to see a big recession, a big slowdown? i don't know. >> this comes in a way where carl icahn launched his own website. carl icahn.com. he'll express his views this way and with twitter. back during seeking alpha he said basically this could be 2007 heading to 2008, irresponsibility, central banks
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that continue to give you medicine, give the patient medicine and more medicine. at one point do you need to get the reliance off the stimulus. he's saying at this point, you know, you need to cut the cord. the fed should have raised and hiked interest rates six months ago, not just last month. that's the question we're asking our viewers today, right, carolyn? >> do you share carl icahn's pessimism. if you want to join in on the conversation get in touch with us by e-mail and also via twitter as well. yeah, you can also contact carl icahn. let's show you our personal handles which you see on your screen. still to come on "worldwide exchange", a bit of a breather but straight out of left field they say the leader of the u.k. party doesn't look like a future prime minister. what does his party think of snim. getting the job done. we speak to aaron jobs about writing steve jobs biopic and
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welcome back. the u.k.'s opposition labor party is gathering for the first conference since german corbin was elected as leader.
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controversial shadow leader takes stage today when he delivers a speech in which he will pledge to deliver, quote, new economics. will fred is in brighton. what will that be? >> reporter: that is exactly what we're waiting to hear, carolyn. british politics is supposed to be in dull mode. the rise of this turning british politics on its head. the culmination coming in the next 24 hours. tomorrow we hear from him but as you rightly say, today we hear about the economic and business policies from john mcdonald. his speech due to start about 12:00. we will have an interview with him first on "worldwide exchange" in 25 minutes' time. i'll be asking him about his nationalization plans as one sector. people's quantitative easing,
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something that raises many more questions than answers. what does that mean for the bank of england and what does it mean for mark carney, someone who's been critical of the plan. finally, the financial tax. how will that play out and how does that mean something for the banking industry. later in the day when he discusses them in front of the broader party it will be very interesting to see how his mps respond because some of them, the likes of amouna, liz kendall, yvette cooper refused to serve in the shadow parliament. for now i'll throw it back to you in the studio. >> wolf, he has a new economic team, six new members and one very famous name is pickany, what do you many of that. >> thomas pickaty and joseph
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stiglets. very clear in the release, the press release was a quote from pigatity. it was an antiausterity quote suggesting that we're going to see plans along those lines if lasch were to come to bear. it raises an interesting question about the corbin era. a big advisory panel and also of course the party now going to its members to get their views. it will be interesting to hear from mcdonnell. does that mean that the minister has to resign? another interesting area to explore later today. for now, guys, back to you. >> wolf, thank you so much for that. okay. let's talk about the box office and cartoon monsters are scaring away the competition with "hotel
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transylvania 2" taking the top spot in north america this week end pulling in $47.5 million in its debut. that's the best opening ever for a movie in the month of september. the movie, which stars the voices of adam sandler and selena gomez, has been knocked by critics but, you know, well received by audiences with the box office date. meantime, some hit -- tit-for-tat banter. he defended the film from current apple ceo tim cook. sorkin fired back with a barb about apple's operations in china. sorkin said the film included some new information on the life of steve jobs. >> it's not opportunistic. tim cook hasn't seen the film yet or hadn't when he made that
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comment on colbert. nobody signed up for this movie to get rich. it's just not that kind of movie. so i hope that when tim cook sees it, he enjoys it as much as i enjoy that party. >> that's disappointing. you're going to real back from a fight. we had tim cook saying it's opportunistic on stephen colbert, then i would say aaron sorkin took it to a wheel different level. he said you have a factory full of children in china assembling phones for 17 cents an hour. he had a lot of nerve telling somebody else that they are opportunistic. he did at that point. all gloves were off. aaron sorkin not apologizing saying both of them went too far. tim cook, will he apollo guides, too?
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probably not. >> it's good. as i say, there's no such thing as bad press coverage. if you get the head lines. >> garner a lot of interest for the movie. maybe it will do better than the last one? >> steve jobs, michael fastbender is in the lead role. let's talk about scotland and, yes, we are on to sports. scotland survived the first half scare from the u.s. to push on and secure a bonus point to win top pool b at the rugby world cup. the u.s. led 13-6 at halftime. an early second half allowed scotland to push on. they face south africa in what looks like the group's deciding game. elsewhere we saw england, kaur owe lynn, yeah, the host england, they suffered a serious set back. wales fin nishd stronger to
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secure a three-point win. did you see that match? i didn't. he know everyone else watched it. england have it all to do for a place in the quarterfinals when they face australia next weekend. the walllabs while ire row guy won over romania. >> there were a lot of red eyes the day after. >> let's move on to other types of football in some ways. involving a pass forward. peyton manning passed for 324 yards and two touchdowns as the denver broncos put away the detroit lions to improve 3-0 on the season. manning kikted with three time pro bowler demarch yous. the lions foal 0-3 with the loss which is the worst start since 2010. around the rest of the nfl the atlanta falcons scoring the last
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25 points to complete the comeback against the dallas cowboys. philadelphia eagles winning for the first win topping the new york jets. bengals late rally sent the ravens to the first ever 0-3 start. the nfc seattle seahawks winning over the chicago bears scoreless. still to come on the program, breaking up is hard to do. pro independence parties claiming victory in catalonia. could there be an unexpected fallout in we're back in spain right after this. (vo) what does the world run on? it runs on optimism. it's what sparks ideas. moves the world forward. invest with those who see the world as unstoppable. who have the curiosity to look beyond the expected and the conviction to be in it for the long term.
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welcome back to world wide exchange. here are your headlines. vw shares are looking at red today. the ecb reportedly cutting off the car maker refusing it to buy loans from its finance arm as rumors suggest the company has known for years of the emissions cheat. catalan separatists declare victory. they fall outright of the victory to win most seats in the regional parliament. tie up talks terminate vodafone's discussions with liberty mobile over an asset swap as they fail to come to
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terms on a deal. cheers to sabmiller. they could bid $106 million for the brewer. yeah, we are looking right now at a slide in volkswagen shares. just some headlines coming through because we are expecting some heads to roll in this emissions cheating scandal. looks like volkswagen, the board, has suspended the research and development heads of vw passenger cars audi and porsche according to sources in this emissions scandal. we were getting reports just last week that we could see more firings and resignations to come as a result of this emissions cheating scandal that has come to light. according to sources right now r and d heads passenger cars, audi, porsche are set to go. >> glencore, the big mining company, the shares are hitting
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another record low this morning. glen core slumping to another all time low. this is as there's a bearish note on the stock. they're calling them the bermuda triangle. have a look at glen core accelerating its slide. we're off 10% at 8757. so well below that 100 p handle. let me bring you some of the most important comments from that. the challenging environment for mining companies leads us to the question of how much value will be left for equity holders if major commodity prices do not move. if they remain at the levels investec says absent substantial restructuring nearly all the equity of glencore is sliding. the company was taken off its
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earlier lows. since then they've sort of been in free fall since then. they're now down more than 1/3 from the september 16 close. do keep an eye on the shares now off by more than 10%. let's move on. pro independence parties in catalonia have won a majority of seats setting the stage for talks that could break them away from spain. let's get back to julia in barcelona for all the information. jules. >> reporter: the pro separatists did get a majority in parliament. the question is did they all work together to bring the idea to fruition. we'll have to wait and see if a coalition is forming and a declaration at some time in the future they intend to become independent. the other thing is the vote was split. the pro separatists didn't effectively take the popular mandate. they only got 48% of the popular vote. that's also perhaps an achilles heel going forward. my talking to people over the last week and in the past few
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days, i was questioning whether or not they understood actually the implications of what it would mean separating from spain in terms of their euro membership, in terms of being able to use the euro going forward, but the other thing that came up in our discussions was vasa, the football team. other people were saying, look, it doesn't matter if we're part of spain or separate. i was asking people, a, do you want to separate from spab? b, if that meant that basa was thrown out of the league would you change your mind? listen in. >> translator: no, i'd like catalonia to stay in spain as it always has zbln how concerned are you if there is a separation that barcelona has to leave la liga? >> i support real madrid. if barcelona left there would be no rivalry. i'd like them to stay no matter whatever happens. >> translator: i don't care if
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they play in mon at the carlo or africa. what matters to me is catalonia separates from spain. >> i totally agree, what happens if catalina did separate from spain and the team had to leave la liga. >> no, they would play as a different country. >> you think that would be fine? >> it's fine by me, you know. >> you don't care about the end of elclassico because you don't care about football? >> yeah, it would be spain against catalina. >> i think so, it is the moment to do it. business is business. it's sadly to say but just for that, maybe it's good that we remain in la liga. >> i think they're dependent -- each other depends on the other. either barcelona wants to lose all the money that comes from la
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liga. i suppose there is just a public opinion because of all the feelings that come in these cases but it's not going to happen. >> reporter: business is business, one of the comments that they're saying. no matter what happens even if cat at that lone yeah separates from spain, they'll find a solution and barcelona will be able to stay in la liga in the football league. europe, similar comments. we'll never be thrown out of europe. doesn't matter, we can separate and be fine. i think if ultimately a referendum was allowed by the constitution, some of these questions need to be answered more firmly. for now we'll wait to see what happens on the coalition forming front. it's one of the big roadblocks to this staining. >> jules, thank you to that. fantastic football reporting.
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i wasn't quite aware of all of the consequences for football, jules. thank you for that. greek finance minister says he doesn't see any reason why his country won't return to economic growth. he suggests greece needs debt relief and they will aim to reopen fresh debt negotiations before christmas. he made the report after his party was returned to power. donald trump plans to release his plans today at 11:00 a.m. eastern. the top presidential republican candidate telling "60 minutes" that he wants to raise taxes on the very wealthy. trump also wants to cut the number of unfair deductions so that the middle class and corporations pay less in federal tax taxes. trump isn't saying how the u.s. affords these but he says the
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u.s. must heavily tax imports especially coming from mexico and japan. hillary clinton says she has been as transparent as possible about her private e-mail server when she was secretary of state. speaking on "meet the press" the democratic candidate said constant questions about the server has left a mark on her campaign. >> it is like a drip, drip, drip. what i can do is provide more transparency and more information than anybody that i'm aware of who's ever served in the government and i'm happy to do that because i want these questions to be answered. >> clinton has seen her lead in the race for the democratic nomination fade. new nbc/wall street journal shows she leads vermont presidential candidate bernie sanders by only 15 points. let's talk about the house speaker. emotional john boehner has spoken out about his decision to resign as the speaker of the
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u.s. house of representatives saying he had always tried to do the right things for his country. he also revealed he had received praise from the pope and he was angry about, quote, false prophets in the republican party. kelly o'donnell from nbc news filed this report. >> heads up, guys. please clear a path either side of the hallway please. >> reporter: out the door. john boehner walked this gauntlet today. >> come on. >> reporter: minutes after he stunned republican colleagues by abruptly announcing his resignation as house speaker effective october 30th. >> i've decided today ease the day i'm going to do this, as simple as that. >> reporter: looking relieved, even happy. boehner has been under relentless pressure from a few dozen house members claiming he caved too often. >> all the stuff i read about in the paper. you know, it's -- i really don't
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want the institution hurt, i don't want my colleagues hurt. i don't want to put my colleagues through all of this. for what? >> reporter: today those republican adversaries did not gloat. >> the speaker made a very humble and class move today. >> reporter: but grassroots conservatives at a washington conference claimed victory when they heard the news. >> speaker boehner announced that he will be resigning. >> reporter: boehner's resignation frees him politically. advisors say he will prevent a looming shutdown next week by working with democrats to fund the government with money for planned parenthood that conservatives wanted to block over abortion. boehner's exit comes one day after he made history. the devoutly catholic son of an ohio bar keeper tried for 20 years to bring a pope to congress. his trademark tears flowed and the pope's message of politics for the common good moved him. >> the pope puts his arm around
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and me and kind of pulls me to him and says, please pray for me. well, who am i to pray for the pope? but i did. >> reporter: boehner leaves with the same motive that brought him here in 1990. >> people throughout this country really do want congress to change. >> reporter: now his sudden departure leaves for the a scramble. >> reporter: will congress function any better with a new speaker? boehner says by turning the page he hopes his party will unite around the new leader, but democrats and some republicans i've talked to say they worry things could get even worse. >> and john boehner making the rounds on the sunday morning chat shows. on cbs's face the nation he's been talking about this ongoing battle, the prolonged battle with the hard line conservative factions within the represent dan party but he does say that he will get that spending bill through.
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they're going to approve what has already been approved and okayed in the senate which is to keep the government funded. that also, by the way, you know, still hasn't cut off the money for planned parenthood which, you know, those hard line factionists in the republican party really wanted to see cut off from any sort of dollars in the u.s. government. >> look, i think the nbc reporter there, she raised a really important point. is the republican party really going to function a lot better if there's a new boehner in place, if there's a new speaker in place? that's a very, very tough question because boehner was someone who was more moderate, tried to stave off the debt ceiling debate, tried to stave off the government shutdown. what we saw happening in 2013, susan, was that the republicans took most of the blame for that big government shutdown. they really shot themselves in the foot. maybe he was smart about being moderate. >> who was leading that shutdown back a few years ago? >> true. >> it was john boehner the house speaker. he says they'll avoid the government shutdown this week.
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no one wants a repeat of that, especially if you want to win the white house in 2016. we're going to go to break on "worldwide exchange." u.k. shadow chancellor john mcdonald ready to unveil labor's plans. we ask him about the strategy right after the short break.
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said they will be coming in 2015. they didn't mention how sales went in the month of august and september. he did comment that the u.s. market continues to be its biggest market where we are seeing, of course, improving gdp. expecting to get consumption there throughout the rest of the year. of course the one negative aspect is russia where we did see a decline of 31.8% in the first six months of the year in terms of exports going into russia. so this, of course, has hampered somewhat of ferragamo's sales in russia. this has been counter balanced by some of what is helping ferragamo along with all of its brands in the exports outside of italy and europe. let's hear what the ceo of ferragamo had to say. >> they are well informed as a way of following changes in the markets. china has been on the front page of the news both digital and
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paper news for a long time. of course, there was concern about china, but i think that it has been improving the general mood. of course, we are very global so we can protect our business in emerging new markets which is not necessarily a new market. we delay a lot. this is what caused financial problems and i'd say we are confident that generally the consumption of luxury goods that it will keep being important. >> this was nordas speaking after the ferragamo show yesterday in milan. a look on the runway was more austere, more elegant, morrow
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man particular being aligned with what's going on in the world. the six day fashion weekends today. georgio armani will be the last show. everything will be moving on to paris for the last leg of fashion weeks that are going on in the month of september. for milan it was a positive outcome and looking forward to 2015 expecting 7% growth for revenues for the fashion system in italy. certainly better than what we had year on year which was an increase of 4%. >> claudia, thank you so much for that. meantime, want to get back to shares in glencore which are seeing a fall. shares down by 12.44%. that's a session low and a record low for glencore trading at 85.47. this is on an investor note that came out this morning. the title is bermuda triangle, the shrinking size of an equity pie. they say if major commodity
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prices remain at current levels, they say in the absence of substantial restructuring nearly all the equity value of both glencore and angelo america could evaporate. that is rattling glencore shares. glencore at 84.86. that said they don't think this is the base case assumption under investex base case assumption which assumes gently recovering prices. they expect a challenging 2016 for the majors but all companies are appreciating steadily from 2017 onwards. >> it looks like a broken stock. this is endemic of the entire commodities phase wouldn't you say levering up. with waning commodity pricing it's tough times for glencore and the rest of the industry. >> glencore has so much debt and
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that's pointed out. the others, they're still paying dividends so they must be in better shape. >> well, you know, big is king in these times i have to say. let's talk about volkswagen and two reports over the weekend suggest that volkswagen already knew of i willegalities. the second in 2011 when a vw technician pointed out unlawful practices. this is according to another publication in frankfurt. >> easy. >> also the new volkswagen ceo has taken control. matthias mueller is taking the helm. wall street journal is saying the former chief executive of rsche will tell people he vows to get to the bottom of the scandal as decisively as
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possible. >> this is really interesting, susan. the ecb is no longer including loans backed by volkswagen financial assets. quick look at shares in vw and they're down once again after recovering a little bit of ground at the back of last week. volkswagen shares off by 5.63%. in the last hour volkswagen has suspended the research and development heads of vw passenger cars, audi and porsche. moving on, the u.k.'s labour's party. controversial chancellor is taking center stage when he will deliver a, quote, new economics. let's get back tout wolf who is in brighton. wolf? >> reporter: carolin, thank you very much. yes, indeed. we're getting closer to the keynote address from john
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mcdonnell at lunchtime today. there are more questions than answers. people will be looking to get clarity from him. the rail ways are going to be the first sectors to be nationalized. what sectors would come next? we've heard of plans to increase corporate tax yesterday on the marsh show, he said one company boots needed to face up to the full tax -- the amount of tax they were paying. we'll be looking for other names of other corporations they want to single out. the idea of people's quan at thistive easing. it's a confusing term. we don't know what it would mean for the bank of england and its independence. the current governor has been critical. the robin hood tax, the idea of
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taxes financial institutions, financial transactions and what that might mean for volumes of trade placed in london as opposed to anywhere else. all of these questions that we'll hopefully get answers from mr. mcdonnell when he addresses the labor party. tomorrow we hear from jeremy corbin. apart from the policies themselves it will also be fascinating to see what the reaction is from those watching, not just the members who so clearly voted for jeremy corbin in the election two weeks ago but from the members of parliament themselves, the likes of yvette cooper and liz kendall. the fellow leadership rivals who refuse to stand in the shadow cabinet. for now from brighton, back to you. >> wolf, thank you so much for that. meantime, let's take you back to markets. let's have a look at european markets how they're fairing. we're doin' across the board. the foots is he mib.e really puf
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pressure. last week they eked out a massive gain on friday but for the week they are still lower. worth pointing out that the ibex 35 is still the relative outperformer. let's see what this means for the u.s. markets open later on today as they quick off a trading week. lackluster performance on friday. s&p 500 fair value will open lower. dow jones industrials with a decline and the tech and the nasdaq looking at losses of 11 points or so.
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good among day mornimonday . these are your headlines from around the world. >> vw shares looking in the red. the ecb maker cutting off the car maker refusing to buy loans from the finance arm as rumors suggest the group has suspended the heads of r and d and vw, audi and porsche. >> vodafone says it has ended talks with liberty global over an asset swap as they've refuse today agree the terms of the sale.

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